Posted by Allison on 17 October 2017, 16:09
Welcome to another week on the currency markets – and it is a week that would prove interesting in several ways for the British pound.
Let’s begin then by looking at the head-to-head between the British pound and the US dollar. Last week, things ended with the pound on 1.3075 and we certainly got off to a healthy start this week. Monday evening saw the pound significantly higher on 1.3168. We kept this up on Tuesday, too, as the pound rose further to 1.3194. However, it had to change eventually, and it took a turn for the worse over the next two days. By Thursday evening, we were stalled on 1.3139. One final rise was in store on Friday though, which meant we ended up saving the best for last and finishing on 1.3272 this week.
Moving on, let’s see whether we could attain something just as good against the euro. We began trading on 1.1168 here, before having a good first day by rising to 1.1211. However, the next three days were not as promising as we had hoped. Perhaps the ongoing negotiations surrounding Brexit will continue to hamper progress here. At any rate, Thursday ended with the pound on 1.1082. We did manage to improve on Friday though – and by some margin as well. It meant we finished on 1.1238 – and again, this was higher than we had started on.
Let’s go across to the Hong Kong dollar now, where the British pound started on 10.206 this week. We had two encouraging days to start, as we had against the American dollar. This meant Tuesday evening saw the pound finish on 10.297. We then experienced a two-day drop that took us to 10.259 by Thursday evening, so once again, the pattern looked familiar. Finally, we managed to eke out an improvement on Friday that took us top 10.363 to finish – and again, this was better than Monday’s opener.
The pound started trading on 1.8441 against the New Zealand dollar too last week, and again, the first two days looked promising. From that good start, we made it to 1.8664 by Tuesday night. And again, as we might have expected, we then had two poor days to follow, which led us to a rate of 1.8479 by Thursday night – very different from Tuesday’s closer. Finally, Friday saw an improvement to 1.8589, and that was again better than Monday’s start.
Finally, let’s see whether we could also do well against the Australian dollar. The British pound began trading on 1.6820 last week, and then perked up to 1.6976 on day one. However, the next three days broke the pattern we had seen against other dollar currencies, with each day posting a loss for the pound. This meant we finished Thursday evening on 1.6817. However, those losses were relatively small, and a good boost on Friday took us to a healthier rate of 1.6947 this week.
Here too we saw some good news for the pound, as it rose from 1.6441 to 1.6589 against the Canadian dollar.
Another good result was seen against this European currency, as the pound rose from 1.2813 to 1.2961 this week.
More of the same here, as the pound rose from 138.466 to 139.021 this week.
So, we can see the pound had a great week last week – perhaps more so than we might have guessed. But will this continue? We can see Friday 13th was far from unlucky for the British currency, but of course, we can never tell how long the good fortune will last for.
Rest assured we will be following the latest developments and will let you know what happens next as the days go on.